Tofino’s pursuit of an indoor recreation facility is still kicking and the district hopes its latest attempt to secure funding will split the uprights.
The town’s municipal council unanimously agreed to apply for an $8.2 million grant from Infrastructure Canada’s Green and Inclusive Community Buildings program prior to Feb. 28’s application deadline.
An indoor recreation facility has long been on the district’s wishlist and was identified in the 2015 Tofino Recreation Management Plan as “a critical objective in the pursuit of improved community recreation opportunities.”
Confidence in the latest grant application stems from the district spending roughly $125,000 last year to progress the potential facility’s design with an eye on capturing the Green and Inclusive Community Buildings grant’s specific requirements.
“The design responds directly to the GICB grant program requirement resulting in an innovative net-zero building that meets the highest standards of accessibility,” read a report submitted to council by Director of Community Services April Froment and Director of Community Services Aaron Rodgers on Feb. 21.
The recreation facility is expected to cost $14.7 million and the grant would cover about $8.2 million leaving just over $6.5 million left for the district to come up with.
District staff estimate the annual debt repayment for borrowing that amount would be $400,211 over 30 years.
Froment noted the district’s pay parking revenue is expected to eclipse $700,000 annually, which would be enough to cover the recreation facility’s loan payments, though she added staff continue seeking out other grant opportunities as well as fundraising possibilities and private donations.
“The most significant limit on borrowing funds for the District’s share of the project lies within provincial regulations around borrowing limits for municipalities,” read the report.
“The annual liability servicing limit for the District in 2023 is $2.2 million. The District has current long-term borrowing for the Waste Water Treatment Plant and the water system, limiting the available borrowing to $11.1 million assuming the current interest rates and that future borrowing would likely be over a 30 year term.”
Froment said that, if the district’s application is successful, further community engagement would be required to support the development and adoption of the consequential borrowing bylaw.
“A dedicated indoor recreation facility has been a long-standing community need which has been articulated through the Tofino Recreation Management Plan as well as through the various design phases of the proposed facility,” the report reads. “Significant public engagement has been undertaken related to the proposed project over the last decade. Should the District’s application to the GICB program be approved, the District will be required to extensively engage with the community regarding the financial implications of the project.”
Coun. Tom Stere commended staff for their continued resolve to see the facility come to fruition over many years and several grant rejections.
“Particularly Mr. Rodgers, the persistence on this I cannot speak highly enough of,” he said.
He noted council has not had a conversation around how to spend the pay parking revenue, so more discourse would be needed to determine whether a recreation facility is the best use for those dollars.
“That is something that we still have to have a much more in depth conversation around, but thank you for charting out one of those potential revenue sources for debt servicing,” Stere said.
He noted the district can only borrow a finite amount based on provincial legislation and asked Director of Corporate Services Deborah Bodnar if she was comfortable enough borrowing room would be left in case of emergency.
Bodnar said she was “very comfortable” with staff’s recommended grant application.
“I’m comforted that we’re looking for other ways to draw down that total borrowing. I’m also comforted that we’re looking at other sources of revenue to service that debt,” she said.
Coun. Al Anderson said he supported moving ahead with the grant application, but asked whether a ballpark amount for the potential facility’s annual operating costs had been tallied.
“We need to also think about revenue sources for future operating costs,” he said. “I just want to go in with eyes wide open.”
Froment said staff would be presenting estimated operating costs at a future meeting.
Coun. Duncan McMaster said he has “been in support of this project from day one.”
He asked about the layout of the facility and said stakeholders would need to be engaged to ensure it suits the sports being played within it.
“We’re going to have to have a discussion with the projected users to sort out that layout,” he said.
He raised concern around the wording in the council resolution that the district “commits to securing the municipal share of project costs” and noted it would be up to residents to decide whether to commit to borrowing the necessary funds.
“Maybe it’s just my English, but that sounds a little strong. ‘Commits to securing’ almost seems that we’re going to get the money wherever it comes from,” he said.
Coun. Kat Thomas wondered the same and asked what would happen if the grant is approved, but the community does not approve of the spending.
“Say we get the grant, but the community for whatever reason kind of revolts against it and says, ‘No, that’s not what we want.’ Do we still have to carry through with it?,” she asked.
Froment said the district would decline the funding if that happened.
andrew.bailey@westerlynews.ca
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